On January 1, 2024, Instaform, Incorporated, issued 10% bonds with a face amount of $48 million, dated January 1.. The bonds mature in 2043 (20 years).• The market yield for bonds of similar risk and maturity is 12%.• Interest is paid semiannually.Required:1-a. Determine the price of the bonds at January 1, 2024.1-b. Prepare the journal entry to record their issuance by Instaform.2-a. Assume the market rate was 9%. Determine the price of the bonds at January 1, 2024.2-b. Assume the market rate was 9%. Prepare the journal entry to record their issuance by Instaform.3. Assume Broadcourt Electronics purchased the entire issue in a private placement of the bonds. Using the data in requirement 2,prepare the journal entry to record the purchase by Broadcourt.Note: Use tables, Excel, or a financial calculator. (FV of $1. PV of $1. FVA of $1. PVA of $1. FVAD of $1 and PVAD of $1)Complete this question by entering your answers in the tabs below.Req 1AAnswer is not complete.Reg 1BDetermine the price of the bonds at January 1, 2024.Note: Enter your answer in whole dollars.Price of the bonds $ 45,874,890Req 2AReq 2BReq 1AReq 3Req 1B >

Bonds refer to high-security debt instruments that enable an entity to raise funds and fulfil…

in January 1, 2024, Instaform, Incorporated, issued 10% bonds with a face amount of $48 million, dated January 1. The bonds mature in 2043 (20 years). . The market yield for bonds of similar risk and maturity is 12%. . Interest is paid semiannually. required: a. Determine the price of the bonds at January 1, 2024.

in January 1, 2024, Instaform, Incorporated, issued 10% bonds with a face amount of $48 million, dated January 1. The bonds mature in 2043 (20 years). . The market yield for bonds of similar risk and maturity is 12%. . Interest is paid semiannually. required: a. Determine the price of the bonds at January 1, 2024.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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